What is the main purpose of examining business records during an HMRC control visit?

The main purpose of examining business records during an HMRC control visit is to check for compliance with tax regulations. This process is crucial as it ensures that businesses adhere to the tax laws and regulations set out by HMRC. Compliance checks involve evaluating whether the business has reported its income accurately, claimed appropriate deductions, and fulfilled its tax obligations.

When HMRC audits the records, they look for any discrepancies or areas where the business may not have followed the set guidelines. This scrutiny helps maintain the integrity of the tax system, as it promotes adherence to laws and discourages tax evasion.

While calculating potential fines could be a consequence of non-compliance discovered during a visit, it is not the primary goal of HMRC's examination. Similarly, assessing business growth and verifying inventory levels may be relevant to overall business performance, but they do not align with HMRC's main objective during a control visit, which is focused squarely on compliance with tax laws.